The provisions were created for:

• Settlement to the claimants for unit-linked products;

• VAT and legal issues;

• Employee restructuring expenses;

• Retention of disability risk instead of insuring it with the Employee Insurance Agency (Uitvoeringsinstituut Werknemersverzekeringen - UWV);

• Dismantling costs wind turbines; and

• Other expenses.

The provision for the settlement to the claimants for unit-linked products is a provision to cover cost from legal and operational actions related to the transparency and cost discussion of investment insurance policies. At the end of November 2023, a.s.r. and five consumer protection organisations agreed on a settlement to be paid to the claimants to a maximum of € 250 million. The agreement became final on 19 February 2025, as at least 90% of the affiliate customers agreed to the settlement.

It has also been decided to set up a leniency scheme for customers who are not affiliate with the consumer protection organisations for distressing cases that are assessed on their merits. This initiative is to resolve long-lasting and historical disputes concerning unit-linked life insurances. The provision is calculated as the best estimate of the expenditure required to settle these claims, taking into account the settlements reached, management’s opinion and consultation with its legal advisors. The provision recognised by a.s.r. to finalise the unit-linked life insurance claims amounts to € 300 million (2023: € 300 million) as a result of the settlement offer made in 2023. In addition, € 36 million (2023: € 37 million) is recognised in the insurance liabilities as remaining portion of the previous agreements. See section 7.7.7.2 for details of the contingent liability relating to unit-linked products.

The provision for VAT and legal issues is based on best estimates available at year-end, making allowance for expert opinions.

The provisions for employee restructuring are based on arrangements agreed in the Collective Bargaining Agreement, restructuring plans, and on decisions made by a.s.r.’s management. The restructuring provision amounting to € 57 million (2023: € 51 million) relates mainly to the reorganisation of a.s.r. Nederland due to the integration of Aegon NL entities and the consequential program to achieve a lower cost level. This program will be continued in 2025. 

The timing of the outflow of resources related to these provisions is uncertain because of the unpredictability of the outcome and the time required for the settlement of disputes.

An amount of € 368 million (2023: € 381 million) of the provisions is expected to be settled within twelve months after the balance sheet date.